Appointment of Commissioner for the commission of inquiry into certain matters relating to the leasing by the Commonwealth of accommodation for the Australian National Audit Office

Administered by Department of the Prime Minister and Cabinet

Legislation au C2004Q00947 In force Prerogative Instrument

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ENTERED ON RECORD by me in Register of Patents No.  39             , page    43      , on 24 June 2004

 

 

 

 

 

Secretary to the Federal Executive Council

ELIZABETH THE SECOND, by the Grace of God Queen of Australia and Her other Realms and Territories, Head of the Commonwealth:

TO the Honourable David Anthony Hunt AO QC

WHEREAS it is desired to have an inquiry into certain matters relating to the leasing by the Commonwealth of accommodation for the Australian National Audit Office in Centenary House at Barton in the Australian Capital Territory (the Centenary House Lease), which was the subject of the Royal Commission of Inquiry conducted by the Honourable Trevor Rees Morling QC in 1994 (the 1994 Inquiry):

BY these Letters Patent issued in Our name by Our Governor-General of the Commonwealth of Australia on the advice of the Federal Executive Council and pursuant to the Constitution of the Commonwealth of Australia, the Royal Commissions Act 1902 and other enabling powers, We appoint you to be a Commissioner to inquire into and report on the circumstances surrounding the Centenary House lease.

AND in particular, We direct that you inquire into:

(a) whether movements and trends in commercial rates and leasing arrangements since the 1994 Inquiry, or any other matters, cast new light on the findings of that Inquiry;

(b) whether the Centenary House lease is in line with leasing arrangements, whenever made, of a comparable kind;

(c) whether the terms of reference of the 1994 Inquiry could have been better designed to enable information relevant to the Centenary House lease to be elicited;

(d) whether the resources provided to the 1994 Inquiry, the absence of counsel assisting, or the particular processes adopted, adversely affected the 1994 Inquiry;

(e) whether Commonwealth agencies gave or received appropriate advice in relation to the Centenary House lease before it was entered into, including in relation to:

(i) the term of the lease;

(ii) the effect of the rent escalation provisions in the lease;

(iii) whether there was an adequate market review mechanism in the lease;

(iv) marked conditions; and

(v) other relevant matters;

(f) whether, in light of any new information that is elicited, there were payments or inducements offered in relation to the Centenary House lease which raise issues of impropriety, and whether further examination of witnesses or documents by the 1994 Inquiry may have identified such issues;

(g) whether, in light of any new information that is elicited, any person involved made a misleading statement in relation to the Centenary House lease or any proposal since 1994 to renegotiate or vary the lease;

(h) whether the government leases referred to in submissions to the 1994 Inquiry, or in the Report of the 1994 Inquiry, for the purposes of comparison with the Centenary House lease provided a reasonable bases of comparison, and whether other leases, including non-government leases, would have provided a more appropriate basis of comparison; and

(i) whether there exist any other issues of concern in relation to the Centenary House lease.

AND We declare that the Commission established by these Letters Patent is a relevant commission for the purposes of sections 4 and 5 of the Royal Commissions Act 1902.

AND We require you to begin your inquiry as soon as practicable, to conduct your inquiry as expeditiously as possible, and, not later than 15 October 2004, to furnish to Our Governor-General of the Commonwealth of Australia the report of the results of your inquiry and such recommendations as you consider appropriate.

WITNESS His Excellency Major General Philip Michael Jeffery, Companion of the Order of Australia, Commander of the Royal Victorian Order, Military Cross, GovernorGeneral of the Commonwealth of Australia.

Dated 24 June 2004

GovernorGeneral

By His Excellency’s Command

Attorney-General
for the Prime Minister

AttorneyGeneral

for the Prime Minister

 

 

Overview

The Letters Patent issued on 24 June 2004, signed by Her Majesty Queen Elizabeth II and the Governor-General of the Commonwealth of Australia, established a Royal Commission to investigate the Centenary House lease, which was previously examined by the 1994 Inquiry. This inquiry was prompted by the Royal Commissions Act 1902 and other enabling powers, aiming to re-examine the lease in light of new information and trends since the 1994 Inquiry. The Commission was tasked with assessing various aspects of the lease, including its alignment with contemporary leasing practices, the adequacy of the 1994 Inquiry's terms of reference, and the propriety of advice and statements made by involved parties. The policy objective was to ensure transparency and accountability in the Commonwealth's leasing arrangements for the Australian National Audit Office, addressing any potential issues that might have arisen from the original inquiry.

Scope and Application

The Letters Patent issued under the authority of Queen Elizabeth II and the Australian Constitution appoint a Commissioner to conduct an inquiry into the leasing of accommodation for the Australian National Audit Office in Centenary House at Barton in the Australian Capital Territory, specifically focusing on the Centenary House Lease that was previously investigated by the 1994 Royal Commission of Inquiry. The Commissioner is tasked with examining whether commercial rate movements and leasing trends since the 1994 Inquiry have revealed new information, whether the Centenary House lease aligns with comparable leases, and whether the terms of reference or processes of the 1994 Inquiry could have been improved. Additionally, the inquiry will assess whether appropriate advice was provided to Commonwealth agencies regarding the lease terms, the adequacy of market review mechanisms, and whether any payments or inducements offered in relation to the lease raise issues of impropriety. The Commissioner is also directed to consider whether any misleading statements were made by individuals involved in the lease or its renegotiation since 1994, and whether the leases used for comparison in the 1994 Inquiry provided a reasonable basis. The scope of this inquiry is limited to the specified lease and related issues, with no explicit geographic or jurisdictional limitations beyond the Australian Capital Territory.

Key Provisions

The main operative sections of this legislation, C2004Q00947, establish a Royal Commission to inquire into specific aspects of the Centenary House lease. Section 1 appoints the Commissioner, while section 2 outlines the scope of the inquiry, focusing on various aspects of the lease and related matters. Section 3 mandates the commencement of the inquiry as soon as practicable and requires a report by 15 October 2004. The Commission is declared to be a relevant commission under sections 4 and 5 of the Royal Commissions Act 1902. The obligations imposed by this Act on the appointed Commissioner are significant and multifaceted. The Commissioner must conduct the inquiry thoroughly and expeditiously, ensuring that all aspects of the lease and related issues are examined. This includes reviewing commercial rates and leasing arrangements, assessing the terms and conditions of the lease, and examining the processes and resources of the previous 1994 Inquiry. The Commissioner is also required to evaluate the adequacy of advice provided to Commonwealth agencies, the propriety of any payments or inducements, and the accuracy of statements made by involved parties. Breach of the obligations set out in this legislation may result in various consequences. While the Act does not explicitly detail specific offences or penalties, the nature of a Royal Commission implies a serious commitment to uncovering the truth. Failure to adhere to the terms of the Letters Patent could result in legal action for contempt or other civil remedies. Furthermore, any findings of impropriety or misconduct could lead to recommendations for further investigations, prosecutions, or other administrative actions by relevant authorities. The severity of any penalties would depend on the nature and extent of the breach, as well as the subsequent legal proceedings.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.